Republican Congressman Michael Grimm of NY indicted on fraud charges
Monday, April 28, 2014 - 01:36
April 28 - New York Republican Congressman Michael Grimm is indicted on 20 counts in a federal probe on fraud charges. Karen Hendren reports.
▲ Hide Transcript
▶ View Transcript
New York congressman Michael Grimm, was indicted on fraud charges in connection with a Manhattan fast-food restaurant he owns. He's charged with 20-counts and faces 20 years in prison if convicted.
The charges follow a more than two-year federal probe of the republican congressman's fundraising.
U.S. Attorney Loretta Lynch.
SOUNDBITE: U.S. Attorney Loretta Lynch saying:
"He could run this business legitimately and honestly or he could succomb to the lure of easy money and try to cheat his way to success. And Michael Grimm made the choice to go from upholding the law to breaking it, and in so doing, he turned his back on every oath he had ever taken."
Grimm, a former Marine who worked as an FBI agent, was elected in 2010 with a wave of conservative "Tea Party" Republicans advocating low taxes and government spending.
Prosecutors said Grimm and his restaurant, Healthalicious, under-reported wages paid to workers, many of whom were undocumented workers. They said many of the wages were paid in cash.
Prosecutors also said Grimm also concealed from federal and New York state authorities more than $1 million in gross receipts... and charges him with lying under oath in January 2013 about his role in the restaurant.
IRS Criminal Investigation Chief Richard Weber.
"Rep. Grimm billed himself as a patriot and an America hero. A decorated marine, a former FBI agent now representing his fellow citizens of Staten Island and Brooklyn…but Rep. Grimm was anything but an outstanding citizen. He cheated, invaded then lied."
Grimm's attorney declined to comment.
In January, Grimm generated headlines when he threatened to throw a television reporter off a balcony after an interview in the U.S. Capitol on the night of President Obama's State of the Union address.
Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code